We have bad credit due to a failed business caused by situations beyond our control. We soon will need to buy a home in Waukesha.What are our options?

Asked by Taakniewel, Saint Croix Falls, WI Mon Apr 8, 2013

We have a home to sell in northern Wisconsin. What are the chances that a financial institution will work with us?

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Michelle Yoo, Agent, Madison, WI
Thu Jun 19, 2014
In terms of selling your home, your credit rating shouldn't actually affect that.
As for the process of purchasing a home, it will depend on what your actual credit score is, your debt to income ratio, and other factors. The previous advice of consulting with a mortgage lender is wise. Good luck to you.
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Sanjeev Ahuja, Mortgage Broker Or Lender, Floral Park, NY
Sun Jun 1, 2014
You should discuss the whole situation with an experienced licensed mortgage broker in you area. Bad credit due to failed business is only one piece of the puzzle, there may be other positive compensating factors to offset this.

Good Luck!
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Michelle Yoo, Agent, Madison, WI
Sat May 31, 2014
The time lapse of how long ago all of these unfortunate events occurred will matter as well. Everyone on this thread is right in one form or another. The best advice out of all of this is to contact a lender or financial institution. Look around though, don't think that just because it's a big name bank that it's the best. Try to find a company that has a good reputation but is willing to be creative and go through different providers.
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Laura Molden…, Other Pro, New Berlin, WI
Wed May 21, 2014
Hi Jay,
You could do a lease with option to purchase. That way you can be in the house you want and have time to get your credit repaired. Typical time from for this is 12-18 months and I work with several reputable credit repair companies and a great mortgage broker. Usually the homeowner is looking for 3.5-5% as a down payment which is reflected as a down payment at closing.
I'm happy to answer any questions you may have.
Warm regards,
Laura Moldenhauer
New Horizons in Real Estate
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Jay Benson, Agent, Temple Terrace, FL
Fri Apr 4, 2014
Bank mortgage officers can usually handle your type of situations in house and not depend on other banking institutions for approval. I recommend:
George L. Waldkirch
Loan Originator
NMLS # 247334
Office: 262-532-6132
Fax: 262-367-8421

Hartland Office
400 Cardinal Lane
Hartland, WI 53029
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Christopher…, , Oconomowoc, WI
Wed Apr 2, 2014
Hello, my first advice would be to contact a mortgage professional. I would be more than willing to help answer any questions you might have regarding your concerns about creidt issues. We do offer the FHA Affordable program that allows you to to put down as little as 10% with a score as low as 500 or as little as 3.5% with a score as low as 550. Please feel free to reach out to me for more information. Thank you. Christopher Lovald-AmeriCU Mortgage 262-951-1893 clovald@americu.com
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John Stevens, , Hoffman Estates, IL
Wed Apr 24, 2013
My advice is to contact a lender first and go over your situation with them. Then if they say you can get a loan, ask for a preapproval letter before you start looking. This should always be the first step in the process.
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Mandy Fritsc…, Mortgage Broker Or Lender, Delafield, WI
Mon Apr 8, 2013
Hello: We are able to lend on an FHA loan down to a 580 credit score. Are you and your spouse now employed again after the failed business? Did you have any Bankruptcy or Foreclosures in the last 7 years? Every situation is unique so I would like to discuss yours in more detail. Please feel free to call me or fill out an online applicaiton on my website:

Mandy Fritsche, Mortgage Loan Officer, NMLS# 557211, Prospect Mortgage,
262-327-5700 Cell, 877-868-9198 Fax, mandy.fritsche@prospectmtg.com
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